ASX Penny Stocks To Watch In December 2025

Simply Wall St

As the Australian market navigates a mixed landscape with sectors like Materials showing strength while Energy struggles, investors are keenly observing potential opportunities. Penny stocks, though an older term, still represent an intriguing area of investment by highlighting smaller or less-established companies that may offer value. By focusing on those with robust financials and clear growth prospects, investors can uncover promising opportunities in this niche segment.

Top 10 Penny Stocks In Australia

NameShare PriceMarket CapRewards & Risks
Alfabs Australia (ASX:AAL)A$0.39A$111.77M✅ 4 ⚠️ 4 View Analysis >
EZZ Life Science Holdings (ASX:EZZ)A$1.50A$70.76M✅ 2 ⚠️ 2 View Analysis >
Dusk Group (ASX:DSK)A$0.775A$48.26M✅ 4 ⚠️ 2 View Analysis >
IVE Group (ASX:IGL)A$2.80A$430.33M✅ 4 ⚠️ 2 View Analysis >
MotorCycle Holdings (ASX:MTO)A$3.12A$230.45M✅ 4 ⚠️ 1 View Analysis >
West African Resources (ASX:WAF)A$2.89A$3.3B✅ 4 ⚠️ 2 View Analysis >
Praemium (ASX:PPS)A$0.76A$363.6M✅ 5 ⚠️ 2 View Analysis >
Service Stream (ASX:SSM)A$2.20A$1.35B✅ 3 ⚠️ 2 View Analysis >
EDU Holdings (ASX:EDU)A$0.90A$129.54M✅ 4 ⚠️ 2 View Analysis >
GWA Group (ASX:GWA)A$2.44A$639.96M✅ 5 ⚠️ 1 View Analysis >

Click here to see the full list of 432 stocks from our ASX Penny Stocks screener.

Let's uncover some gems from our specialized screener.

Chalice Mining (ASX:CHN)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Chalice Mining Limited is a mineral exploration and evaluation company with a market capitalization of A$725.68 million.

Operations: Chalice Mining Limited has not reported any distinct revenue segments.

Market Cap: A$725.68M

Chalice Mining, with a market cap of A$725.68 million, is currently pre-revenue and unprofitable. The company's cash runway extends over three years based on current free cash flow, providing some financial stability despite the lack of revenue. Recent board changes have improved compliance with ASX governance rules by appointing an independent chair for the Audit Committee. While short-term liabilities are well covered by assets (A$81.2M), significant insider selling has occurred recently, potentially signaling caution among insiders. The management team is relatively new with an average tenure of 1.8 years, indicating potential shifts in strategic direction.

ASX:CHN Debt to Equity History and Analysis as at Dec 2025

Racura Oncology (ASX:RAC)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Racura Oncology Ltd, a clinical stage biopharmaceutical company, focuses on addressing the unmet needs of cancer patients for damaging treatments in Australia and has a market cap of A$472.92 million.

Operations: The company generates revenue of A$6.04 million from its operations in Australia.

Market Cap: A$472.92M

Racura Oncology Ltd, with a market cap of A$472.92 million, is currently unprofitable and has limited revenue (A$6.04 million). Despite this, its short-term assets significantly exceed liabilities, providing some financial cushion. The company recently completed a follow-on equity offering raising A$3.22 million to support ongoing operations and clinical trials for RC220 in cancer treatment. These trials aim to address resistance issues in existing therapies, generating interest due to the potential impact on treatment efficacy. While the management team is relatively inexperienced with an average tenure of 1.6 years, recent strategic appointments may bolster its scientific advisory capabilities.

ASX:RAC Financial Position Analysis as at Dec 2025

United Overseas Australia (ASX:UOS)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: United Overseas Australia Ltd, along with its subsidiaries, is involved in the development and resale of land and buildings across Malaysia, Singapore, Vietnam, and Australia, with a market cap of A$1.18 billion.

Operations: The company's revenue primarily comes from its land development and resale segment, which generated A$438.18 million, alongside investment activities contributing A$257.51 million.

Market Cap: A$1.18B

United Overseas Australia Ltd, with a market cap of A$1.18 billion, has demonstrated stable financial health and earnings growth. The company's revenue streams from land development and resale (A$438.18 million) and investment activities (A$257.51 million) highlight its diversified income sources. UOS's robust cash position exceeds its debt, ensuring strong liquidity, while operating cash flow comfortably covers debt obligations. Despite an unstable dividend track record and lower net profit margins compared to last year, the company maintains a solid asset base that surpasses both short-term and long-term liabilities. Its seasoned management team further strengthens its operational stability.

ASX:UOS Debt to Equity History and Analysis as at Dec 2025

Make It Happen

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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